$HUI is now testing major support after drifting sideways for almost two years.

Summary

Long-term – on major buy signal. Short-term – on mixed signals. Gold sector cycle is down. COT data is supportive for overall higher metal prices. From a contrarian point of view, the current extreme bearish sentiment is an excellent buying opportunity for long-term investors. We are holding long-term positions.

DisclosureWe do not offer predictions or forecasts for the markets. What you see here is our simple trading model which provides us the signals and set ups to be either long, short, or in cash at any given time. Entry points and stops are provided in real time to subscribers, therefore, this update may not reflect our current positions in the markets. Trade at your own discretion.